Mobile recharge plans may increase by 10 to 12 per cent by year end

Mobile users in India could face a significant price hike. Telecom companies are reportedly planning to increase tariffs by 10-12 percent by the end of the year.

Mobile Recharge: India's major telecom companies are preparing to increase tariffs by 10-12 per cent by the end of this year. A significant increase in the number of mobile users in May has boosted their confidence that customers can now afford more expensive plans. However, this increase will be more noticeable for users who already spend more. This tariff hike isn't arbitrary.

7.4 Million New Active Mobile Users Added

In May 2025, India added approximately 7.4 million new active mobile users, bringing the total number of active users to 108 crore (1.08 billion). Reliance Jio alone added 5.5 million users and Airtel added 1.3 million, strengthening their market share. BNP Paribas, in its report, stated that the rate of new customer acquisition will depend on the quality of 5G service. It is estimated that the telecom sector's earnings will grow in double digits by 2027.

Moving Away from the ‘One-Size-Fits-All’ Model

According to the report, this time the mobile tariff increase will not be limited to base plans only. The last increase in July 2024 saw an 11-23% rise in basic plans. This time, companies will target mid and high-range plan users to increase revenue without losing significant customers. Companies may now abandon the ‘one-size-fits-all’ model.

Higher Prices for Data

Experts believe that plans with different prices based on data speed, time slots, or data usage may be introduced. This means users consuming less data or using services late at night could receive different tariffs. This would allow customers to choose plans that suit their specific needs.